SUMMARY FROM THE REPORT
Appeared in:
Public Policy & Governance Spring 2015 (Volume 6, Issue 2)
AUTHOR:
Steven Lampert
Free-riding and coordination issues have largely impeded traditional forms of global governance from enforcing standards and engendering change across policy areas. This paper assesses whether private regulation is a viable alternative for reversing this trend. Using a theoretical framework, the paper examines the effectiveness and accountability of divergent private regulators — the International Accounting Standards Board (IASB) and the Forest Stewardship Council (FSC). While the multiple-principles issue may jeopardize the efficacy of private regulation, the IASB and FSC have successfully mitigated its effects. Ultimately, the paper demonstrates that private regulation is a viable global governance model, and one that can have transformative impacts across policy areas.
